Chairman Chung Eui-sun of Hyundai Motor Group went on a business trip to the United States to attend a groundbreaking ceremony for a plant dedicated to electric vehicles in Georgia.
According to industry sources, Chairman Chung left to the United States on a private plane from Gimpo International Airport on Oct. 24.
Chairman Chung is planning to attend the groundbreaking ceremony for an electric vehicle-only plant in Georgia, USA, scheduled for Oct. 25 (local time), while staying there for about a week.
Hyundai Motor Group announced in May that it would invest $5.5 billion (about 7.93 trillion won) to build an electric vehicle-only plant in Georgia, USA.
The groundbreaking ceremony is known as an event to commemorate the construction of Hyundai Motor's Georgia plant. It is said that the actual construction will start in 2023.
Hyundai Motor’s electric vehicle-only plant in Georgia has grown in importance with the enforcement of the US Inflation Reduction Act (IRA). The IRA contains a content that provides subsidy (tax credit) benefits only for electric vehicles made in North America.
Hyundai Motor Group, which exports electric vehicles produced in Korea to the United States, is in a difficult situation to expect subsidy benefits until the Georgia plant begins operation.
Hyundai Motor Group's EV sales in the US are already declining. Hyundai Motor sold 1,306 Ioniq 5 cars in the US last month (September), down 14% from the previous month. During the same period, Kia EV6's sales performance decreased 22% from the previous month to 1440 units.